(a) Approved companies are allowed a credit against the West
Virginia consumers sales and service tax imposed by article
fifteen, chapter eleven of this code and collected by the approved
company on sales generated by or arising from the operations of the
tourism development expansion project: Provided, That the tourism
development expansion project tax credit allowed under this section
is separate and distinct from any credit allowed for a tourism
development project in accordance with the provisions of section
seven of this article: Provided, however, That if the consumers
sales and service tax collected by the approved company is not
solely attributable to sales resulting from the operation of the
tourism development expansion project, the credit shall only be
applied against that portion of the consumers sales and service tax
collected in excess of the base tax revenue amount. The amount of
this credit is determined and applied as provided in this article.

(b) The maximum amount of credit allowable in this article is
equal to twenty-five percent of the approved company's approved
costs as provided in the agreement: Provided, That, if the tourism
development expansion project site is located within the permit
area or an adjacent area of a surface mining operation, as these
terms are defined in section three, article three, chapter twenty-
two of this code, from which all coal has been or will be extracted prior to the commencement of the tourism development project, or
the tourism development project site is located on or adjacent to
recreational property owned or leased by the state or federal
government and when the project is located on property owned or
leased by the state or federal government, the project has received
prior approval from the appropriate state or federal agency, the
maximum amount of credit allowable is equal to thirty-five percent
of the approved company's approved costs as provided in the
agreement.

(c) The amount of credit allowable must be taken over a ten-
year period, at the rate of one tenth of the amount thereof per
taxable year, beginning with the taxable year in which the project
is opened to the public, unless the approved company elects to
delay the beginning of the ten-year period until the next
succeeding taxable year. This election shall be made in the first
consumers sales and service tax return filed by the approved
company following the date the project is opened to the public.
Once made, the election cannot be revoked.

(d) The amount determined under subsection (b) of this section
is allowed as a credit against the consumers sales and service tax
collected by the approved company on sales from the operation of
the tourism development expansion project. The amount determined
under said subsection may be used as a credit against taxes
required to be remitted on the approved company's monthly consumers sales and service tax returns that are filed pursuant to section
sixteen, article fifteen, chapter eleven of this code. The
approved company shall claim the credit by reducing the amount of
consumers sales and service tax required to be remitted with its
monthly consumers sales and service tax returns by the amount of
its aggregate annual credit allowance until such time as the full
current year annual credit allowance has been claimed. Once the
total credit claimed for the tax year equals the approved company's
aggregate annual credit allowance no further reductions to its
monthly consumers sales and service tax returns will be permitted.

(e) If any credit remains after application of subsection (d)
of this section, the amount of credit is carried forward to each
ensuing tax year until used or until the expiration of the third
taxable year subsequent to the end of the initial ten-year credit
application period. If any unused credit remains after the
thirteenth year, that amount is forfeited. No carryback to a prior
taxable year is allowed for the amount of any unused portion of any
annual credit allowance.
Note: WV Code updated with legislation passed through the 2016 Regular Session
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